Saturday, September 14, 2013

Weekly News Wrap-Up 9.13.13


President Obama Says an Attack on Syria Must Be Done to Punish Them and MoreBy Greg Hunter’s USAWatchdog.com 
Syria, once again, is the top story this week.  We heard from both President Obama and Russian President Vladimir Putin.  President Obama says an attack must be done to punish Syria for using chemical weapons.  Meanwhile, Secretary of State Kerry tries to work out a deal to take control of Syria’s chemical weapons so an attack can be averted.  Putin penned an op-ed piece in the New York Times that asked the U.S. not to attack because it will make matters worse and it would “spread the conflict far beyond Syria’s borders.”  Putin also said the chemical weapons were used by the al-Qaeda rebels to draw the U.S. deeper into war.  The White House says it was the Assad regime that used chemical weapons, and it is being helped by the terror group Hezbollah.  This goes on and on, back and forth.  The only good news to report is (for the time being) a U.S. attack is on hold.  Some say Putin is playing Obama like a fiddle, and his foreign policy is “incompetent and schizophrenic.”  Others say President Obama is making some brilliant moves.  Whatever you call it, this situation is one of the most complicated and treacherous the country has ever faced.  Any talk that a strike by the U.S. would be “targeted” or “limited” and would not provoke a wider war is nonsense.  In my mind, any U.S. strike will kick off World War III.  When Congress finally votes on Syria, that is what should be put clearly on the table. 
Meanwhile, as the Syrian conflict plays out, Russia has announced it will be sending weapons such as sophisticated anti-aircraft missiles to Iran.  Russia also wants to build Iran a new nuclear reactor.  The U.S and Israel have want Iran to curtail its nuclear ambitions.  This only further complicates a very complicated Middle East situation. 
Back at home the U.S. Congress faces enormous economic challenges.  Congress needs a budget, or spending resolution, to keep the government from shutting down.  Some conservatives want to defund Obama care.  After all, it is program the Congress and many other government agencies and unions are exempt from.  Even the IRS doesn’t want it, and it will be responsible for enforcing the law.  That said, Obama Care is set to fully kick into gear (warts and all) in 2014.  
Then, there is the debt ceiling, and if it is not lifted, we could default on our massive debt.  This all has to be done in the next few weeks.  A slip-up could cause calamity in the markets.  Make no mistake; the U.S. dollar is very vulnerable.  We have a $17 trillion deficit and more than $200 trillion in commitments we will never be able to deliver.  The world is trying to figure out a way to stop using it in trade.  When this happens, Americans will suffer a loss in their standard of living that will be shocking. 
Gold took another whacking at the end of this week.  I called my friend, Gregory Mannarino of TradersChoice.net, to get his take.  He says much of the the price drop can be attributed to people selling out of the ETF GLD, or paper gold; then, turning right around and buying physical metal at a reduced price.  Mannarino says that COMEX has the lowest amount of gold for delivery on record.  You got to ask yourself, why are so many of the rich gobbling up physical gold? 
Finally, new documents released by the government show the NSA spy program grew out of control.  This newspaper story from the AP says officials who were supposed to keep the spying on Americans in check“didn’t understand the system and didn’t understand what they were told.”  This is a major vindication for NSA whistleblower Edward Snowden, who now lives in Russia.  All charges should be dropped or at least greatly reduced, and he should be allowed to return home.  Join Greg Hunter as he gives his analysis in the Weekly News Wrap-Up.